We all know what happened in Spain in 2008.Due to extremely generous feed in tariffs for solar , installers went on a spree installing 2.5 GW of solar in 6 months compared to the world’s global capacity till date of less  than 20 GW . This led to a sharp revision and crash of the […]

One of the biggest causalities of The Greek crisis has  been the  world IPO market.Number of companies all over the world are deferring their IPOs seeing the rise in market volatility . I was earlier thinking that a rash of low quality offerings in the Indian market might be sign of the market top .Seeing […]

India has very low exposure to the current European debt crisis. The reasons for that are: India’s export to GDP ratio is much lower than that of other Asian countries,so a slowdown in world trade due to European slowdown has little affect India’s financial sector has almost no linkages to the sovereign debt of the […]

The rush to safe haven assets today was frightening to say the least.As I write this VIX went up by more than 50% while Yen is up more than 5% .10 year Treasuries have recovered from 3.29% yield to 3.41% yield beginning at 3.59% and the US markets have recovered from down 8% to down […]

Markets are dropping like a rock. Went down more than 4% in less than a minute.Seemed like that the whole financial system was unravelling. The European problem that has been festering over the last 2 weeks suddenly seemed to hit the market in full force and weight.Euro is dropping like its a sub-Saharan currency while […]

Recent newsflow from China suggest that the country’s real estate market is poised for a sharp slowdown and the heavily controlled financial sector is sitting on huge piles of NPAs which are as yet undeclared.While I don’t think a crash will happen in China , I feel more certain that the stellar growth in China […]